According to Coin Metrics, the cryptocurrency remained unchanged at $30,302.03. It experienced a morning surge, peaking at around $31,450, which marked its highest point since June 2022. However, these gains were reversed as a result of the release of better-than-expected U.S. jobs data, causing concerns among investors regarding future interest rates. This earlier movement stood in contrast to declining stock prices and increasing yields, with the yield on the 10-year U.S. Treasury note reaching a 16-year high by surpassing 4%. Moreover, the recently released minutes from the Federal Reserve's June meeting revealed that a majority of officials would support further rate hikes in the future.
The cryptocurrency market has been characterized by low liquidity for several months, leading to exaggerated fluctuations in both upward and downward trends. Despite these circumstances, sentiment among traders remained positive due to a significant endorsement of bitcoin by BlackRock CEO Larry Fink, who referred to it as "an international asset" that provides an alternative investment option not tied to any specific currency. Fink made these remarks during an appearance on Fox Business News on Wednesday. Bitcoin has been on a steady upward trajectory since June 15, when BlackRock, the world's largest asset manager, initially filed for a spot bitcoin ETF. The number of coins held by institutional entities through trusts, ETFs, and funds has surged since then, reaching its highest level in over a year, as reported by CryptoQuant. Additionally, bitcoin open interest has returned to levels seen before the introduction of FTX's derivatives exchange.
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